Series 79: A.5.4. Warrants

Taken from our Series 79 Online Guide

A.5.4. Warrants

A warrant, or subscription warrant, is a security that allows the holder to purchase a specified amount of the issuer’s stock for a specified price. Unlike rights, warrants are long-term securities, usually valid for 2 to 15 years.

Warrants are typically sold with bonds or preferred stock as a sweetener: an added inducement to the buyer that

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